The Oilfield Technology Group (OTG) of Hexion™ is committed to developing technologies that enhance the industry’s ability to perform and analyze hydraulic fracturing treatments that provide improved results.OTG has introduced a revolutionary service that combines our core strengths of resin coated proppant technology with our substantial hydraulic fracturing experience. Utilizing this combination, a unique environmentally acceptable method for the determination of propped fracture height has been developed. The PropTracSM H Fracture Diagnostics Service combines OTG’s resin coated proppants with a new built-in tagging material and post frac logging service and analysis.PropTrac is a simpler, easier and safer way for operators to optimize fracture treatments and improve treatment results.PropTrac provides the following benefits:

Does not use radioactive ■■

tracer materials as in conventional tracer jobsNo special environmental or ■■

safety precautions, permits, or regulatory compliance is necessaryLogs can be run as often ■■

as desired during the life of the wellProppants with a built-in ■■

tagging material in the resin coating provide more accurate results

PropTrac H does not use radioactive tracer materials as in conventional tracer jobs. Utilizing a patented coating technology, PropTrac offers an environmentally acceptable alternative for the personnel performing the fracture treatment and flowback. Unlike conventional radioactive tracer logging services, no special environmental or safety precautions, permits or regulatory compliance is necessary.

The actual resin coated proppant is delivered already tagged as compared to conventional tracer jobs where small additional radioactive tracer materials are continuously added to the proppant slurry. Since the proppant has the tag built-in to the coating, there is no guesswork as to where the proppant is actually located in the fracture.

Key Benefits of Hexion’s Environmentally Acceptable PropTrac H Fracture Diagnostics Service

For more information, contact your Hexion representative or e-mail us at: PropTrac@hexion.com

Economic Comparison of Scenarios 1 and 2 Cumulative Present Value vs. Time

Years

■ Scenario 1 at 10 D.R. (750 ft. Fracture Length, 150 ft. Fracture Height)

■ Scenario 2 at 10 D.R. (1,000 ft. Fracture Length, 75 ft. Fracture Height)

0 1 2 3 4 5 6 7 8-1,000,000

1,000,000

3,000,000

9,000,000

15,000,000

5,000,000

7,000,000

11,000,000

13,000,000

Cum

ulat

ive

Pre

sent

Val

ue $

Producing Interval

A Better Understanding of Actual Fracture Geometry Can Help You... Get the Results You Expect.SM

Is your propped frac height 75 ft. by 1,000 ft. or 150 ft. height by 750 ft.?

Different fracture geometries greatly affect the economic value of the well.

East Texas Case HistoryAn East Texas well was fractured with the new PropTrac H Fracture Diagnostics Service. As shown in the PropTrac log at left, no proppant was placed below the lower producing Taylor Sand interval which indicates an adequate lower fracture boundary.

However, proppant was placed above the Taylor Sand interval which indicates communication between the lower stage and the next stage (Lower Cotton Valley).

This shows how PropTrac can help operators optimize fracture treatments and improve treatment results without the inherent issues associated with conventional radioactive tracer jobs.

Stage #1 fracture treatment utilizing PropTrac H service:■ Waterfrac at 50 BPM■ 150,000 lbs. 40/70 frac sand■ 30,000 lbs. 40/70 Black Plus™ PT 40/70 tail-in

(includes built-in tagging material)■ Proppant Conc. – 1.75 lb/gal■ Log performed 24 days after treatment

Rocky Mountain Case HistoryA Rocky Mountain operator was looking for a way to confirm the propped fracture height in their wells to help them improve their fracturing strategy. They were sensitive to the environmental concerns held by the public in the area along with the regulatory restrictions and political issues that come with using radioactive tracers. The use of radioactive materials was prohibited, so the conventional methods were not an option.

Once the operator discovered PropTrac H as an environmentally acceptable alternative, they were immediately interested in utilizing the service. Upon viewing the PropTrac well log results, they gained additional valuable information to help them reevaluate and optimize their perforating and fracturing designs.

Upper stage fracture treatment utilizing PropTrac H service:■ Waterfrac at 40 BPM ■ 88,020 lbs. 20/40 PR6000™ PT

(includes built-in tagging material) ■ Proppant Conc. – 4 lb/gal ■ Log performed 28 days after treatment

PropTrac logs can be run as often as desired during the life of the well. You don’t have to worry about radioactive tracer half-life decay. PropTrac may also allow you to observe how proppant distribution in the fracture may be affected by changes in flowing pressure, flow rates or fluid entry. You may also obtain information to assist in analyzing refrac options during the life of the well.

1 2 3 4 5 6

7 8 9 10 11 12 13

14 15 16 17 18 19 20

21 22 23 24 25 26 27

28 29 30

Analyze Anytime and Often1 2 3 4 5 6

7 8 9 10 11 12 13

14 15 16 17 18 19 20

21 22 23 24 25 26 27

28 29 30

Analyze Anytime and Often

PropTrac H Case Histories

For More Information, Read SPE Paper 109969: A New Environmentally Acceptable Technique for Determination of Propped Fracture Height and Width

World Headquarters:

Hexion Specialty Chemicals, Inc. 180 East Broad Street Columbus, OH 43215-3799

The Global Leader in Thermoset Resins As the world’s largest producer of thermoset resins and the leader in adhesive and structural resins and coatings, Hexion Specialty Chemicals meets customers’ specific application needs with a total solutions approach of products and services. Hexion offers the broadest range of thermoset resin technologies and unmatched technical support—and provides them around the globe. With our extensive research and development capabilities and applications know-how, we are uniquely able to work in partnership with customers to co-develop better products and systems. Plus, Hexion’s worldwide production network facilitates assured supply and prompt delivery wherever our customers do business.

The Oilfield Technology Group of Hexion is addressing the stimulation industry’s needs in three critical areas:

Additional resin coated proppant supply■■

Innovative fracturing technologies■■

Product quality■■

Our OTG team is comprised of veteran fracturing professionals and industry leading research scientists along with a network of world-class supply chain, manufacturing, and customer service personnel.

The Oilfield Technology Group:Fracturing Proppants■■

Fracture Diagnostics■■

Sand Management■■

Get the Results You Expect.SM

Oilfield Technology Group15115 Park Row, Suite 160 Houston, TX 77084 USA+1 281 646 2800hexion.com/oilfield

For worldwide locations visit hexion.comFracturing photos courtesy of BJ Services Company and Halliburton.® and ™ Licensed trademarks of Hexion Specialty Chemicals, Inc. © 2008 Hexion Specialty Chemicals, Inc. HCI-192 5/08 Printed in U.S.A.

The information provided herein was believed by Hexion Specialty Chemicals (“Hexion”) to be accurate at the time of preparation or prepared from sources believed to be reliable, but it is the responsibility of the user to investigate and understand other pertinent sources of information, to comply with all laws and procedures applicable to the safe handling and use of the product and to determine the suitability of the product for its intended use. All products supplied by Hexion are subject to Hexion’s terms and conditions of sale. HEXION MAKES NO WARRANTY, EXPRESS OR IMPLIED, CONCERNING THE PRODUCT OR THE MERCHANTABILITY OR FITNESS THEREOF FOR ANY PURPOSE OR CONCERNING THE ACCURACY OF ANY INFORMATION PROVIDED BY HEXION, except that the product shall conform to Hexion’s specifications. Nothing contained herein constitutes an offer for the sale of any product.